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INSTRUCTOR’S MANUAL

Nora Underwood University of Central Florida

CONTENTS

P A R T 1: Introduction: Markets and Prices Chapter 1 Preliminaries 1 Chapter 2 The Basics Of Supply And Demand 5 P A R T 2: Producers, Consumers, and Competitive Markets

Chapter 3 Consumer Behavior 23

Chapter 4 Individual And Market Demand 41 Chapter 4 Appendix 58 Chapter 5 Uncertainty and Consumer Behavior 64 Chapter 6 Production 74 Chapter 7 The Cost Of Production 84 Chapter 7 Appendix 98 Chapter 8 Profit Maximization And Competitive Supply 102 Chapter 9 The Analysis Of Competitive Markets 117 P A R T 3: Market Structure and Competitive Strategy Chapter 10 Market Power: Monopoly and Monopsony 138 Chapter 11 Pricing With Market Power 160 Chapter 11 Appendix 185 Chapter 12 Monopolistic Competition And Oligopoly 191 Chapter 13 Game Theory And Competitive Strategy 217 Chapter 14 Markets For Factor Inputs 232 Chapter 15 Investment, Time, And Capital Markets 242 P A R T 4: Information, Market Failure, and the Role of Government Chapter 16 General Equilibrium And Economic Efficiency 255 Chapter 17 Markets With Asymmetric Information 267 Chapter 18 Externalities And Public Goods 278